51
In the short run analysis, MP = 0 at the level in which
A)
Marginal product is maximum
B)
Total profit is maximum
C)
Total product is maximum
D)
Average product is maximum
Answer & Solution
Answer: Option
A
52
Which is the correct statement about GNP?
A)
GNP at factor cost = GNP at MP - Indirect taxes + subsidies
B)
GNP at market price = GDP + Cost of capital
C)
GNP = Capital + Assets - Depreciation
D)
GNP = Wages + Dividends
Answer & Solution
Answer: Option
D
53
Under perfect competition a firm can produce with
A)
An optimum plant
B)
Identical products at low cost
C)
Maximum profit
D)
An optimum output
Answer & Solution
Answer: Option
A
54
Which of the following is the correct statement?
A)
2, 3 and 4
B)
1, 3 and 4
C)
1, 2, 3 and 4
D)
1, 2 and 3
Answer & Solution
Answer: Option
D
55
In short run, the law of variable proportions is also known as the
A)
Law of constant returns
B)
Law of diminishing returns
C)
Law of increasing returns
D)
Law of return to scale
Answer & Solution
Answer: Option
B
56
Lerner's index of monopoly power is
A)
$$\frac{{P - MC}}{P}$$
B)
$$\frac{1}{e}$$
C)
Both A and B
D)
None of these
Answer & Solution
Answer: Option
C
57
If the GNP is Rs. 550 crore and NNP is Rs. 475 crore, the depreciation is
A)
Rs. 100 crore
B)
Rs. 75 crore
C)
Rs. 175 crore
D)
cannot be calculated
Answer & Solution
Answer: Option
B
58
Who proposed the degrees of price discrimination?
A)
Professor A. C. Pigon
B)
Professor Lerner
C)
Alfred Marshall
D)
Wicksell and Cairnes
Answer & Solution
Answer: Option
A
59
When all the productive services are increased in a given proportion, the product is increased in the same proportion. This situ ation is called
A)
Variable cost
B)
Situation of Constant Returns
C)
Fixed cost
D)
Law of Increasing Returns
Answer & Solution
Answer: Option
B
60
The indifference curve which is 'L' shaped represents
A)
Perfect complementarity
B)
Perfect substitutability
C)
No substitutability
D)
Non complementarity
Answer & Solution
Answer: Option
A
